To assist with implementing the revised AICPA Code several documents have been developed including a Framework document that will help you familiarize yourself with the new structure.
Do you need help updating your firm’s policies and procedures, your state’s rules or regulation or just want a better idea of where the content from the old code appears in the revised AICPA Code? If so, download an Excel version of the mapping document.
Use of the Term Control
In some situations the PEEC determined that when the term “control” was used, it did not intend for the definition of “control” to be used. When such was the case the term was not put into italic and was not linked to the definition. For an understanding of why the PEEC concluded as such, refer to the Use of Term Control document.
Conceptual Framework Toolkit
To assist with implementation, the AICPA Professional Ethics Division is developing a toolkit that will focus on how to apply the conceptual frameworks, including discussion of the specific types of threats that may exist and safeguards that may be applied to reduce or eliminate those threats to an acceptable level.
Until then, you may find the Power Point presentation on the Conceptual Framework a helpful tool.
Style and Drafting Conventions
In an effort to make the revised AICPA Code easier to read, understand, and apply the standard style and drafting conventions were used.
In addition, to further integrate the conceptual frameworks, certain provisions of the revised AICPA Code were recast to enhance the reader’s understanding of the provision by providing further context into such things as what threats are present and what safeguards are effective. Recasting did not change the substance of the existing provisions by allowing the application of judgment where none is permitted today. For example, if a covered member holds stock in an audit client, the only safeguard that would eliminate or sufficiently mitigate the “financial self-interest” threat to independence would be to eliminate the interest or cease being a “covered member” – the same requirement as under today’s rule. Thus, recasting did not weaken the rule or allow for judgment where none is permitted today.
To understand the style and drafting conventions used as well as the drafting guidelines for integrating the conceptual frameworks into the revised AICPA Code, consult the AICPA Codification Drafting Guide.